Lenovo to Produce 50,000 AI Servers Annually and Open New R&D Centre in India

Lenovo India plans to produce 50,000 AI servers with GPUs in India starting next year. The company also announced the establishment of its fourth-largest research and development centre in Bengaluru. Lenovo India Managing Director Shailendra Katyal stated that these servers will be manufactured locally and exported from their Puducherry facility.

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Manufacturing and Exports

The production of 50,000 servers annually will commence next year at Lenovo's Pondicherry plant. This facility will not only cater to the Indian market but also serve as an export hub. "It will be manufactured at our Pondicherry facility not only for India but it will also be exported from India," Katyal said. The company is part of the Rs 17,000-crore IT hardware production-linked incentive scheme.

Lenovo's Puducherry plant, operational since 2005, will now produce enterprise AI and GPU servers. These servers feature Lenovo's advanced 8-way GPU architecture. Over 60% of this production is intended for export across the Asia-Pacific region. "We export mobile phones from India to the Americas but servers will be exported very much across the world," Katyal added.

Commitment to Indian Manufacturing

Katyal highlighted Lenovo's long-standing commitment to manufacturing in India, which began two decades ago. This initiative predates the production-linked incentive scheme. The company plans to manufacture around 12 million devices annually in India, including Motorola smartphones, personal computers, and servers.

Lenovo has been designing Android phones in India and is now extending this expertise to server production. The company's efforts align with its strategy to enhance local manufacturing capabilities and expand its product range.

Research and Development Expansion

Amit Luthra, Managing Director of Lenovo India's Infrastructure Group, announced the setup of a new R&D centre in Bengaluru. "We are setting up the fourth-largest research and development centre for Lenovo globally," he said. This centre will contribute to all five key stages of a product life cycle: system design, firmware and software development, product assurance, security, and testing elements.

The Bengaluru R&D centre will match Lenovo's global facilities in terms of skill set and ecosystem. It aims to support Lenovo's innovation efforts by providing a high-skill environment that aligns with their global standards.

Lenovo's strategic initiatives reflect its commitment to strengthening its presence in India through local manufacturing and research capabilities. These efforts are expected to boost exports and contribute significantly to the company's global operations.